Elon Musk has shaken the financial world through bold discussions around the US Gold Reserve audit. In a recent X post, he called for a transparent audit of Fort Knox, which is the biggest US Gold reserve. This is highlighted as a must-do event because the authorities last audited in 1974. This means the Gold reserve has been unaudited for the last 50 years, sparking concerns. More importantly, the hype is building simultaneously around Bitcoin, where investors wish to see a Bitcoin reserve instead of Gold. With that, let’s discuss how Bitcoin price will react if any discrepancies are found.
Elon Musk’s Fort Knox Audit Movement
Elon Musk questioned the status of the gold reserve in a tweet after US Senator Mike Lee revealed how Fort Knox had denied his entry. In a tweet, Lee mentioned that he has repeatedly tried to visit this Gold reserve, but they denied it.
To which Musk replied, “Who is confirming that gold wasn’t stolen from Fort Knox? Maybe it’s there, maybe it’s not.” This simple tweet got everyone’s attention, including Senator Rand Paul and others requesting the audit.
What caught everyone’s attention was the Trading Economics claims that more than 8,100 tonnes of gold are in the reserve. The last full audit was conducted in 1953, and a partial one was conducted in 1974. This left everyone amazed at how this topic was neglected, sparking the demand for Elon Musk’s D.O.G.E. to conduct a Fort Knox audit.
The fire was further fueled by the Australian government’s finding of fake gold in the Bank of England reserve. In response, India relocated 102 tonnes of gold from the reserve, triggering the possibility of a gold bank run.
Netizens are concerned about the possibility of a gold bank run in Fort Knox. More importantly, the continuation of such revelations will only decrease people’s confidence.
Amidst this buzz and discussion, Bitcoin has been claimed to be a safe alternative, and many have pointed out its superiority over gold.
Bitcoin Reserve Demand Grows Over Gold’s Shortcomings
Many crypto experts and enthusiasts, including Senator Cynthia Lummis, were among the first to respond to Musk’s skepticism with the Bitcoin advocation. The senator argues that Bitcoin fixes Gold’s issues, as it can be audited anywhere with a basic computer.
Bitcoin fixes this. A Bitcoin reserve could be audited anytime, 24/7, with a basic computer. It’s time to upgrade our reserves.
Others added to the advocacy, claiming that Gold Reserve requires external audits and physical verification, but Bitcoin’s blockchain operation could eliminate that work as anyone can verify from home on their computers.
With that question, what will happen if Elon Musk’s audit shows a discrepancy, and how will it impact Bitcoin prices, especially as BTC falls behind Gold?
Bitcoin Price May Hit New ATH With Gold Reserve Audits
Gold and Bitcoin have an inverse relationship, with Gold’s downfall favoring Bitcoin’s growth. A famous crypto analyst, MaxPain, added that the inconsistencies in Musk’s audits could result in people losing trust in gold. Eventually, this would push people toward Bitcoin as the ultimate hard asset.
However, the difficult part is that the entire financial market will panic if Elon Musk audit finds any missing or fake gold. However, once the panic settles, Bitcoin’s demand could rise significantly due to its scarcity, transparency, and decentralized nature. BTC is already at a crucial junction, and its price rally to $100k could introduce further bullish momentum.
An earlier CoinGape blog discussed the Bitcoin Spiral Clock, which predicted the Bitcoin price would hit $270k—$300k by the end of 2025. However, a surge to $100k is the stimulus, which might occur with Gold reserve audit reports.
In contrast, if the Elon Musk audit found gold intact, the Bitcoin price could remain unaffected, currently trading at $95.5k. However, if no audits happen, netizens will wander around the status, which could also affect BTC’s growth.
Bottom Line
Elon Musk has ignited discussion about financial transparency and a Gold reserve audit among netizens. People have sparked concerns and questioned the unaudited gold reserve for 50 years. At the same time, the demand for Bitcoin reserve is increasing due to its transparency and easy access. VenEck has even called Bitcoin reserve the key to US economic supremacy.
Now, the most significant point is whether this audit will happen in the first place, and if it does, its outcome could influence the financial market heavily. A discrepancy could favor the Bitcoin price rally, but more updates and market sentiments could change the outcome.
Investors must move ahead with caution and proper research only.
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